|
S. LOSS OF TIRES-- Cost for "NORMAL DAMAGED" TIRES SHALL BE INCLUDED IN
<br /> THE RATE per tire mile. "Normal damage" to a tire means for abuse by partial or
<br /> total destruction of a tire by means other than normal wear (cuts and bruises),
<br /> including but not limited to irregular wear, damage for brake heat, curbing, road
<br /> hazards, and misalignment. The Operator agrees to maintain buses' suspension and
<br /> steering in accordance with bus manufacturers' alignment specifications and keep
<br /> brakes properly adjusted. Tires which have been damaged beyond repair by an
<br /> accident, malicious abuse, fire, or which have been lost or stolen, shall be paid for by
<br /> Operator as of the date of accident, loss or theft on the basis, and within the time, set
<br /> forth in Paragraph 11 hereof.
<br /> 8. CONTINGENCIES--In the event of fire, strikes, accidents, consequences of foreign or
<br /> domestic wars, terrorism, or any cause beyond either party's reasonable control which
<br /> will delay or interfere with its performance of its obligations hereunder, such
<br /> performance may, at the option of either party, be suspended during the period
<br /> required to remove such cause. In the event Bridgestone discontinues the
<br /> manufacture and marketing of any size or type tire supplied pursuant to this
<br /> Agreement, Bridgestone shall so notify Operator and, upon written notice by either
<br /> party to the other, this Agreement and all related agreements between the parties shall
<br /> be deemed terminated upon the same terms and conditions set forth in Paragraph 11
<br /> below, effective ninety (90) days from receipt of such written notice. This Agreement
<br /> is subject to all present or future governmental regulations affecting production,
<br /> delivery, sale, use or possession of the products leased hereunder. Operator shall
<br /> promptly notify Bridgestone of any accident or claims resulting from an alleged tire
<br /> failure. Operator agrees to defend, save and hold Bridgestone harmless from all claims
<br /> or actions for damages to property or injury to persons, including death, arising out of
<br /> the use or possession of products furnished hereunder or the performance of any
<br /> service related thereto, except for claims or actions that result from defects in material
<br /> or workmanship of any tire manufactured and furnished by Bridgestone under this
<br /> Agreement and/or the negligent acts or omissions of Bridgestone, its agents or
<br /> employees.
<br /> 9. DEFAULT--In the event Operator should fail to make any payment required hereunder
<br /> when due, fail to use or service tires furnished hereunder in accordance with
<br /> Bridgestone's recommendations, fail to report a record of the daily revenue and non-
<br /> revenue vehicle miles as required in Paragraph 2 hereof, or otherwise fail to comply
<br /> with any of the terms and conditions of this Agreement, or in the event any voluntary
<br /> or involuntary proceedings shall be filed against or by Operator under any bankruptcy
<br /> law or other law for the relief of debtors, or Operator's credit shall in any manner
<br /> become impaired, (a.) Bridgestone shall have the right, at its option, without prejudice
<br /> to any other rights and remedies, to stop shipping tires, (b.) such event shall constitute
<br /> a default by Operator hereunder. Upon the occurrence of any such default,
<br /> Bridgestone shall upon thirty (30) days' prior written notice to Operator terminate this
<br /> Agreement and, upon any exercise of such right to terminate, Operator shall at the sole
<br /> election of Bridgestone forthwith return Bridgestone's property furnished hereunder, or
<br /> make payment therefore as of the date of termination on the basis and within the time
<br /> set forth in Paragraph 11 hereof. Upon the failure or refusal of the Operator to return
<br /> said property, Bridgestone may enter upon the premises of Operator and repossess
<br /> said property with or without process of law. Termination of this Agreement shall not
<br /> relieve Operator from its obligations to make all payments required hereunder
<br /> Bridgestone- July 1,2014 Page 4
<br />
|